The Roles of Creativity and Innovation in Entrepreneurship

Advances in Social Science, Education and Humanities Research, volume 470

Proceedings of the International Conference on Student and Disable Student Development 2019 (ICoSD 2019)

The Roles of Creativity and Innovation in

Entrepreneurship

Muhamad Izzuwan Shah Bin Mazla1, Mohd Khata Bin Jabor1*, Kashif Tufail1,

Amir Faisal Noor Yakim1, Hanim Zainal1

Faculty of Social Sciences and Humanities, Universiti Teknologi Malaysia, 81310 UTM Johor Bahru, Johor.

*Corresponding Author Email:mkhata@utm.my

ABSTRACT

Creativity, innovation and entrepreneurship are important things of the launch each innovative

products and services that comes with advanced technology. Entrepreneurship is considered a key

factor in economic development. This paper mainly focused on the creativity and innovation in

entrepreneurship. Creativity and innovation have become the vital point to enhance the value of

entrepreneurship. Creativity help us how to improve existing business practice. Innovation is about

making a process that can convert invention or gain idea to become more marketable product or

service. The study aims to analyze and elaborate the roles of creativity and innovation in

entrepreneurship. To study this role, reviewing literature and searching for related material are using

the search engines.

Keywords: Creative, ideas, innovative, university students

1. INTRODUCTION

In today¡¯s environment, entrepreneurship is no longer

an exceptional in society especially amongst the

graduates. For the entrepreneurs, they can use a

purposeful action and structure of a business that

connect their creative idea to become more innovative.

Career entrepreneurship nowadays has become more

competitive and it is become one¡¯s who involve in this

field need to embark their skill in order to survive.

Entrepreneurship not only be called self-employment

and hard work but it a platform to taps its full potential

in which one¡¯s need to put emphasis on the generation

and development of idea G¨¹nter Faltin [1].

In entrepreneurship field there is a need in risk-taking,

research and development of new ideas and work hard

to drive a new innovation in business. At present,

rapid change in many aspects need the entrepreneur to

be more alert on the changes occurred. The survival

and competition between entrepreneur¡¯s need one¡¯s to

launch their creativity and innovation product and

services Akbar Fadaee & Haitham Obaid Abd

Alzahrh, [2]. Hence, the requirement creativity and

innovation is a vital strategy in entrepreneurship.

Innovation is the instrument in entrepreneurship and

both entrepreneurship and innovation need creativity

by which it is a symbolic domain in the culture is

changed Drucker [3]. Friday O. Okpara [4] supported

the meaning of creativity by which it is the capability

to produce, bring into existence, to create into a new

form, to create through imaginative skill, to make to

bring existence something new. Companies get

recognized on their innovation as it is their ultimate

source of competitive advantage point due to the new

reality today¡¯s global business. With this, the roles of

creativity and innovation in entrepreneurship are

analyzed.

2. LITERATURE REVIEW

2.1

Creativity in Entrepreneurship

Generally, entrepreneurs are required to have the

ability to create, to invent into new form or to bring

existence into something new. This ability is rather

nor inherited or naturally in one¡¯s but it is something

needs to be learnt. According to Akbar Fadaee [2], it

is proved that the creativity is common among the

human species and all at birth have talent in varying

degrees. The definition of creativity can be defined in

different and numerous ways. Entrepreneur primary

concerned is developing new product, processor

market and the ability to break through the tough

market. According to Amabile [5] quoted form Ian

Pillis [6], entrepreneurial creativity has been defined

as the generation and implementation of novel,

suitable ideas to establish new venture.

Creativity is a continuous process in which required

party to work hard and continually improve ideas and

solution. Creative person will work hard by making

gradual alteration and refinements to their work.

Creativity in entrepreneurship also implies the

organization environment such as team climate,

teamwork and others. Creativity in entrepreneurship

Copyright ? 2020 The Authors. Published by Atlantis Press SARL.

This is an open access article distributed under the CC BY-NC 4.0 license -.

213

Advances in Social Science, Education and Humanities Research, volume 470

includes the management in the organization that will

lead to successful company.

Step 7: Critical Thinking

2.2

Basic Element of The Creative

Process

Critical thinking allows an entrepreneur to assess their

own abilities in evaluating ideas. Critical thinking

offers many advantages to entrepreneurs such as

helping to formulate the best ideas and enabling them

to explore new horizons.

The process of creating new venture is inherently to be

dynamic and versatile. There are some aspects to be

taken and the stages of creative approach. Below show

some insight of explanation on the creative process:

3. METHODOLOGY/MATERIALS

Step 1: Preparation

Preparation is a basic step need to be taking care off. It

is a process to prepare your mind to be in creative

thinking. The basic starts is identify a problem and

look out for related information. Get your mind ready

by study and research more on the field of expertise.

Take more time to involve in professional or trade

association to gain more experience and knowledge.

In this study, a few methods have been used. Reviews

of relevant literature are the main methodology in this

study. Relevant article journal are search using search

engines such as google and yahoo respectively. Some

of the journal are also assessed and download at

trusted

site

such

as

ResearchGate

().

Related relevant

information is from the discussion paper, report paper

and trusted website.

Step 2: Thinking the unthinkable

In this step required entrepreneur to go beyond the

comfort zone. The phrase thinking outside the box

often be used to create the creative problem solution

and expression that has been used in psychology,

business and marketing.

Step 3: Creativity Isn¡¯t Magic

Creativity is the ability to generate, reapplying,

changing or combining between new and existing

ideas. The simplest way to obtain new idea is by

combining the ideas and existing elements.

Step 4: Incubation

In this stage involve a lot of works in order to achieve

the main goal that is to find a solution. By evaluating

the existing project can help to generate potential idea.

Step 5: Illumination

In this stage, ideas that generate from incubation stage

need to be clarified. Now the creativity process leads

to the knowledge of some practical ideas that can be

put to work.

4. RESULTS AND FINDINGS

4.1

Innovation in Entrepreneurship

Future success of the companies is depend on

innovation and its also become more critical for

creative people to stay relevant in the competitive

market to survive despite of the limited supply Akbar

Fadaee [2]. Creativity lead to innovation is the often

phrase that imply to how creativity and innovation are

related and needed in entrepreneurship. We need to

focus on innovation this day that making the creation

of new ideas.

The combination and transforms ideas and knowledge

and turn into new value are a process of innovation.

Without innovation, the productions of enterprise

become obsolete.. According to quoted from Akbar

Fadaee [2] entrepreneurs combine creative idea with

existing market opportunities and actively pursuing an

entrepreneurial opportunity to reality with launch of

the business. In short, entrepreneurs have to contribute

to accelerating change. Innovation can take several

forms:

Step 6: Verification

This stage is to validate the idea accurate and useful.

The idea will be determine either it is potential to

solve a problem or not. The idea may be rejected,

accepted, modified with minor or major changes. If

the idea is rejected, the whole processes need to start

again.

I.

Innovation in process which includes change

and improvement to methods. These

contribute to increase in activity and by

which lower cost and help to increase

demand.

II.

Innovation in products or services. Through

this innovation, its leads to increases in

effective

demand

which

encourages

increases in investment and employment.

214

Advances in Social Science, Education and Humanities Research, volume 470

IV.

III.

Innovation in management and work

organization. This innovation require the

organization take part equally and joining to

generate viable and potential idea to become

more competitive.

Creativity and innovation in entrepreneurship

link by which creativity is the intellectual activity to

create new ideas while innovation is the action taken

to transform the new ideas into a result.

I.

Creativity boosts business reputation.

In

competitive

market

nowadays,

entrepreneurs with same feature of product selling

need to find the different and appealing to attract

customers. The product and services for certain

business should be able to distinguish. Creative

entrepreneurs must be able to value add the speciality

in their product and services. The specialities could

attract customer and remarkable. However, to keep the

reputation run for long time creativity need to

innovate from time to time without losing it touch and

originality.

II

Creativity source of business survival

Competitive market nowadays required

entrepreneur to be creative for not left behind. It is

essential for business environment to compete in an

increasingly challenging world at the moment. The

values of creativity is vital for competitors who

constantly producing innovative products or services

accordance with the current development. As people

nowadays are demand for changing, the pattern of

customers to some extent slightly changes. Take for

example, grocery shopping. Some of the enterprise has

made it easy and creative for the customer to do their

grocery shopping. One of the ways is through online

shopping and the groceries will deliver right to their

home. This kind of creativity lead the entrepreneur to

be known and stay survive in tough competitive.

III. Creativity spurs to entrepreneurial quality

The advantage by taking creativity as

priority leads the entrepreneurial towards better

quality. Creativity required one¡¯s to solve the problem

occur and need to come with relevant and reliable

solution. Entrepreneur need to think out of box to

enhance the entrepreneurial qualities.

ideas

for

competitive

The whole process of entrepreneurship itself rooted in

creation and exploration of creating and explores new

ideas. Creative entrepreneur creates new products for

existing services and product.

V.

4.2

Roles of Creativity and Innovation

in Entrepreneurship

Creating new

advantages

Thinking of novel ways to develop your

product and improve the business

There is always an opportunity for improvement in the

deliverables of an enterprise. Creativity and

innovation helps develop new ways of improving an

existing product or service to optimize the business.

This also allows entrepreneurs to think outside the box

and beyond the traditional solutions. Through this

opportunity new, interesting, potential yet versatile

idea come up.

VI.

Finding similar patterns in different areas

Creative people would sometime able to

connect dissimilar and unrelated subject and make

successful entrepreneurial ideas. Interesting ideas

could come from colliding different fields.

VII.

Creativity is problem solving

In developing new strategies to keep the business

running competitively, creative problem solving

provides a competitive advantage that every business

wants to achieve. The need for creative problem

solving arises because more management needs

critical insight to find a suitable and viable solution

whenever it happens.

4.3

Strengthening the Creativity and

Innovation in Entrepreneurship

Creativity and innovation are a recognized

way for sure path to success. Introducing new product

from time to time seen as part of innovation made by

the enterprise Therefore creativity and innovation

should be one of the priorities and implemented

optimally in the entrepreneurship. Based on the study

by [7] on organizational against innovation suggest a

few steps to enhance the creativity and innovation in

entrepreneurship:

I. Innovation requires a political economy of

reform which not only need inputs and

capacity. This requires the active participation

in which to create a constituency for

innovation where government, academia,

industry and citizenry are all involves in the

innovation movement.

215

Advances in Social Science, Education and Humanities Research, volume 470

II. Government can drive innovation through

appropriate

programs

and

awareness.

Entrepreneurship education should be one of

the ways to strengthen the innovation,

especially in young age.

III. The active involvement of mass media,

especially the increasing access to internet and

Information and Communication Technologies

(ICT) could be the channels to disseminate

related information on creativity and

innovation in entrepreneurship. It is also a

platform for one to share their ideas of

innovation.

IV. Provide resources for emerging venture.

Authorities should involve and gives the

opportunity for the emerging venture to occur

and provide the facilities.

V. Encourage industries bodies and chamber of

commerce to take lead in driving greater

collaboration between businesses and start-ups.

A few benefits should be given to those taking

one step ahead to create a greater innovation.

The obligation to strengthening the creativity

and innovation in entrepreneurship involves multiple

parties. Company will capitalize from their creativity

through innovation by producing improved products

and services.

Therefore, the key to maintain or increase their

competitive advantage in a market is creativity and

innovation that being implemented in the company.

Research and development should be implied in

organizational company. Often research could bring

new and creative idea, especially those ideas from

different market, but lie in the same conception of the

existing product.

The successful entrepreneurial depends on the

seriousness with which innovative activities are

undertaken by the enterprises in terms of dominance

input sourcing and the development of new niche

product [8]. A few others way to strengthen creativity

and

innovation

in

entrepreneurship

from

environmental aspects is by investigate the latent

natural resources. The existing technology need to be

adapted as well.

5. CONCLUSION

Entrepreneurship is the medium that spurs the

creativity and innovation. Creativity and innovation

are the heart of the spirit of enterprise which means

both are play a vital role to strive the successful and

viable enterprise. The organization and market product

need the touch of creativity and innovation in order to

not leave behind especially in competitive market

nowadays. Creativity has always been closely linked

to innovation (McLean, 2007). Organization must

nourish creativity and innovation in entrepreneurship

for many reasons.

There is no doubt that current economics are volatile

and violent one. Entrepreneurs need to ensure the

organization are continue to delight the customer,

produce the product in accordance to requirement

which is the purpose of every business. The innovative

elements should continuously change to fulfil one¡¯s

need also for the survival of the enterprise.

Entrepreneurs who embrace creativity and innovation

in their business models, will be moving forward and

be successful than entrepreneurs who remain with the

traditional business model, which is only concerned

with selling exclusively.

The value of creativity and innovation generating the

new ideas in business attract more benefits and value

added towards the companies. Creativity and

innovation are no longer doubt in purposes to help in

keeping the business running for a long time and stay

competitive.

REFERENCES

[1] G¨¹nter Faltin,(Fall,2011) Creating

Culture of Innovative Entrepreneurship, Journal of

International Business and Economy, Volume II,

No.1.

[2] Akbar Fadaee , Haitham Obaid Abd Alzahrh

(December,2014) Explaining the Relationship

between Creativity, Innovation and Entrepreneurship,

Journals International Journal of Economy,

Management and Social Sciences, Volume III, No.12.

[3]

Drucker

P.F.

(1985)

Innovation

Entrepreneurship, London: Pan Books Ltd.

and

[4] Dr. Friday O. Okpara, (September, 2007) The

Value

of

Creativity

and

Innovation

in

Entrepreneurship, Journal of Asia Entrepreneurship

and Sustainability, Volume III, Issue 2.

[5] Amabile T.M. (1998) ¡°How to kill Creativity¡±

Harvard

Business

Review,

September,

October.Business,

Personal

development,

216

Advances in Social Science, Education and Humanities Research, volume 470

Productivity, Starting a business: Why Creativity is so

Crucial for Entrepreneurs?

[6] Dr Ian Fillis,(2010) The Role Of Creativity In

Entrepreneurship, Journal of Enterprising Culture,

Volume III

[7] Drucker P.F. (2002) Management Challenges for

the 21st Century. London: Butter Worth Heinemann.

[8] Essays, UK. (November 2013). Role

Of Creativity In Entrepreneurship And

Innovation Business Essay. Innovations

and Entrepreneurship in a Global

Economy.

217

 ................
................

In order to avoid copyright disputes, this page is only a partial summary.

Google Online Preview   Download